MphasiS Limited (MPHASIS) Stock - Complete Technical Analysis - Nov 19, 2024

MphasiS Limited (MPHASIS) Stock Analysis Support, Resistance, and Technical Insights

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Investing in stocks involves risks, and it's essential to conduct thorough research or consult with a financial advisor before making investment decisions.

The stock of MphasiS Limited (MPHASIS) is currently trading at 2,789.25, just below its 52-week high of 3,187.8, showing some retracement from its recent highs. In the last five trading sessions, it has displayed volatility with the price fluctuating between 2,751 and 2,849.25, suggesting short-term price instability. This indicates that investors should remain cautious when navigating through the next support and resistance levels.

The recent formation of a shooting star candlestick pattern is a significant bearish indicator, especially when it forms near the highs, such as at 2,848.75. This pattern is typically a sign of potential price reversal, especially if the stock struggles to rise past this resistance point. On the downside, the critical support lies at 2,751, a level that should be watched closely. A breach below this price could open the door for a further decline toward the 2,645 area, as per the classic pivot points.

The technical indicators suggest that momentum is fading. The RSI is below 40, hinting at oversold conditions. The MACD line has moved below the signal line, indicating a bearish trend. The Awesome Oscillator and Stochastic Oscillator both suggest weakness in the stock's price momentum. This, combined with the ADX value of 18.1, implies that the stock is not in a strong directional trend at the moment, further supporting the possibility of a short-term pullback.

With the stock facing both psychological and technical resistance near 2,849 and key support at 2,751, traders should be cautious and watch for signs of a reversal. A break above the 2,849 resistance could signal a continuation toward higher levels, while a break below 2,751 could trigger a deeper pullback.